Tito Mboweni: SA’s economic outlook may be worse than feared
The scale of GDP contraction raises risk for 2020
SA’s shock second-quarter collapse in GDP and uncertainty about the economic rebound as lockdown restrictions are eased suggests the economic outlook for the year may be even bleaker than the latest forecasts from the Treasury and the Reserve Bank, finance minister Tito Mboweni warned on Sunday.
While the Treasury has forecast a 7% contraction, the Reserve Bank has put the figure at 7.3%. Some economists are predicting an even worse outcome, with a GDP reduction in double digits.